Stablecoin Support on Coinhako (FAQs)

Stablecoin Support on Coinhako (FAQs)

With a recent update on the regulatory classification of stablecoins, Coinhako is ready to reopen full support for USDT and USDC . To help you navigate the latest updates, we have compiled a list of Frequently Asked Questions (FAQs):

**Please note that this only applies to Coinhako Singapore users.


1. How has the support for USD stablecoins changed?

Coinhako will be resuming full support of USDT and USDC — this means that you will now be able to buy, sell, swap, send and receive these tokens on Coinhako.  

2. Why did Coinhako change the flow of support for USDT/ USDC?

Local regulators recently issued an update on treating stablecoins as Digital Payment Tokens (DPT). As such, Coinhako can support them as normal tokens once again. This only applies to this initial conversion –this means that you’ll get 1 USD for every 1 USD stablecoin (USDT or USDC).

 

3. What’s going to happen to my USD balance?

Any existing USD balance will not be impacted. You may continue to buy and sell all supported tokens on Coinhako against USD, including USDT and USDC.

4. What will happen to my future USDT/USDC deposits?

Previously, all UDST and USDC deposits were automatically converted to USD at the prevailing market rate. 

Going forward, stablecoin deposits will no longer be automatically converted to USD. If you make a USDT deposit into your Coinhako account, the corresponding amount will show up as your USDT balance in the Superwallet.


5.  Can I still fund my Coinhako account with USD using USDT/USDC?

You can fund your account in USD by sending USDT or USDC to your Coinhako wallet, then manually selling the tokens for USD.

USDC/USD trades are pegged at a special rate of 1 USDC = 1 USD with 0% trading fees, enabling you to quickly transfer funds in and out of your USD balance.


*Please note that you will not be able to use discounted trade vouchers for USDT or USDC orders.

6. How do I withdraw USD to my bank account?

We currently do not support direct USD withdrawals from Coinhako to your bank account.

If you wish to make a USD withdrawal, you can do so by  purchasing USDT/USDC on Coinhako, then sending those tokens to an external wallet. 


7. What is the conversion rate for USD Stablecoins to USD?

- USDC may be converted to and from USD at a special, fixed rate of 1 USDC = 1 USD with 0% trading fees.

- USDT and DAI will be priced at the prevailing market rate, with a special 0.3% trading fee.


8. What is the fee for trading USDT/ USDC?

USDC can be interchanged with USD 1:1 with 0% trading fees.

All other stablecoins-fiat trades (USDC/SGD, USDT/USD, USDT/SGD, DAI/USD & DAI/SGD) will have a fixed lower fee of about 0.3%, as opposed to our typical 0.6% trading fee.


9. Can I buy/sell cryptocurrencies using USD?

Yes, you can! Simply select USD from the "Currency" drop-down menu when executing a trade on Coinhako.

 

10. Are there any limits to trading or transacting in USD?

Yes, please note that the following limits are applicable for USD transactions on Coinhako.

Trading

  • Minimum amount to buy crypto with USD: 0.5 USD per transaction

  • Minimum amount to sell crypto to USD: equivalent to 0.5 USD per transaction


11. Can I convert my USD balance directly to SGD?

Currently, we do not support converting USD to SGD.

However, you can purchase cryptocurrencies using USD and then sell them to SGD so that you can withdraw them to your bank account. 


12.  Can I use my vouchers for stablecoin trades?

Unfortunately, users cannot apply trading fee discounts for stablecoin pairs at the moment. 


13. What’s the difference between USDT/USDC and USD?

USDT and USDC are known as stablecoins — a special kind of cryptocurrency designed to maintain a stable value, in this case equivalent to the US dollar.

Stablecoins can be directly backed by an underlying asset pool, such as USDC and USDT being backed by US dollar reserves, or have its value stabilized by market forces, such as for DAI, an algorithmic stablecoin.

USD is fiat, currency declared to be a country’s (in this case, the USA’s) legal tender. Fiat is not backed by the value of physical commodities like gold or silver. Its value stems from demand and supply, as well the stability of the issuing government.


Figured it out? Start Trading Now!

If you require further information, you may contact us here or visit our Blog for the latest updates.



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